Minimization of voltage sag induced financial losses in distribution systems using FACTS devices

Voltage sag can have significant economic consequences for different types of industries. Flexible AC Transmission System (FACTS) is originally developed for transmission networks but similar ideas are now starting to be applied in distribution systems. FACTS devices have become popular as a cost effective solution for the protection of sensitive loads from voltage sag. This paper presents the modeling of FACTS devices to minimize the voltage sag induced financial losses. The overall system financial losses due to voltage sag could be significantly reduced depending on the type of FACTS devices used. The short circuit analysis approach is used to incorporate the effect of these devices on financial losses. Voltage sag produced by balanced and unbalanced short circuits is analyzed by means of an analytical approach using system impedance matrix (ZBus) which incorporates FACTS devices. Two types of FACTS devices, which are most often used in practical applications, are considered in this study: Distribution Static Compensator (D-STATCOM) and Static VAR Compensator (SVC). Case studies based on a real Indian distribution system are used to illustrate the modeling method and the effectiveness of these devices in minimization of financial losses.